I guess its the idea of sitting on it vacant while fixing, and while trying to rent.What can I do to increase success, and minimize faillure and profit loss in order to jump into this situation.

The property should still cash flow which I assume is what your looking for plus any equity profit when the option is exercised.

Low income rentals require more hands-on management, but they also have better profit margins.

"Well," he says, "I figure the job will run about $900: $400 for materials, $400 for my crew and $100 profit for me."

My best option right now would be to flip it to another investor but for a small profit since its not a big profit generator

I want to start investing in an out of state properties to rent out, and use that experience to get a bigger place/profit (being the right property) down the road.How should I start out, i can have a loan or sell my place and have cash.

It can take the place of lease-options, contract for deeds, wraps, sub-to putting the investor in title to carry out any profit making transaction you may desire.

lolThey own it outright and intend to flip the profits into a bigger house for which I am also their buyer agent.

Sure, you may have to flip him or the buyer's agent a commission, but you've sold the property and should have made a tidy wholesale profit.

Purchases and capital improvements are not reported on your tax return, but instead, are reflected in your deprecation expense or in your sale profit.